You are considering a new product launch. The project will cost $2,150,000, have a four-year life, and have no salvage value; depreciation is straight-line to zero. Sales are projected at 150 units per year; price per unit will be $28,000, variable cost per unit will be $17,000, and fixed costs will be $580,000 per year. The required return on the project is 12 percent, and the relevant tax rate is 34 percent.